MGMT 127A Lecture Notes - Lecture 6: American Opportunity Tax Credit, Foreign Tax Credit, Child Tax Credit
Document Summary
Calculated from the tax tables or the tax schedules and it is a function of filing status o o. Taxable income: in general, taxable income is taxed at statutory rates from 10% up to. You are taxed at 0% until you reach an income of ,225 if you"re single and ,450 if you are married filing jointly: also look a the bottom of page 152 in course reader for tax rate schedules. They multiply the step numbers for single by 2 to find married filing jointly only for the smaller steps- once you get higher you see more of a marriage penalty o. Capital gains and dividends (taxed the same levels): Long term capital gains are taxed at a maximum rate of 20% (if the taxpayer is in the 39. 6% bracket) They are taxed at 0% if the taxpayer is in the 10% or 15% bracket and 15% if they are in the 25%, 28%, 33% or 35% brackets.
